Coinbase, Gemini Angling for MiCA Licenses in Malta and Luxembourg: Reuters
Gemini and Coinbase are set to receive licenses to operate across the European Union. Gemini is expected to obtain an operational license from Malta, while Luxembourg is finalizing a license for Coinbase, which plans to open an office there with at least 20 employees. The Markets in Crypto-Assets regulation (MiCA) allows a license from one EU member state to enable operations in all 27 states through a process called “passporting.” Concerns have been raised by EU regulators regarding the rapid approval processes in smaller countries like Malta and Luxembourg, with the European Securities and Markets Authority (ESMA) analyzing Malta’s licensing. Critics warn that differing regulatory capacities may lead to a “race to the bottom” in standards, potentially harming consumer protection and trust. Suggestions include enhancing ESMA's oversight to maintain high standards across the EU and prevent businesses from relocating to regions with looser regulations.
